Treasury 10-Year Yield Pares Advance After Rising to 2008 High
- Bloomberg Treasury index is heading for worst year since 1970s
- UK long bonds set for record rally after BOE intervention
The US Treasury Department in Washington, D.C.
Photographer: Al Drago/BloombergThis article is for subscribers only.
Yields on 10-year U.S. Treasury notes reversed sharply lower after touching the highest since October 2008 as the Bank of England said it would carry out temporary purchases of long-dated UK bonds to help restore order to the market.
The benchmark US 10-year yield was little changed at 3.945% after earlier climbing to 4.015%. But Treasuries remain headed for their biggest annual loss since least 1973, with a Bloomberg gauge of the debt slumping 14% this year. UK 30-year borrowing costs slumped as much as 72 basis points to 4.26%, having surged to the highest since 1998 before the BOE signaled its intention.